The yield on the US 10-year Treasury note declined to around 4.85% on Thursday, reaching its lowest level in nearly two months as the Democrats’ decisive victory in the US midterm elections eased political uncertainty and strengthened demand for both bonds and equities. Meanwhile, artificial intelligence-related stocks faced selling pressure amid concerns over how Democratic control could affect future investments in data-center development. The election outcome also increased expectations of political gridlock in Washington and lowered the likelihood of President Donald Trump resuming military strikes against Iran. This contributed to a sharp drop in oil prices, helping ease inflationary concerns and reducing expectations for further aggressive interest rate increases. Investors are now turning their attention to Friday’s closely watched US employment report, while markets currently reflect a 79% probability of a Federal Reserve rate hike in December.